Houston Homeowners Insurance
Your home is probably the most expensive purchase you will make during your lifetime. That reason alone makes it very important to make sure you have the right insurance coverage at the right price to protect that investment. Since Texas has several risky weather conditions like Hail, High Wind, Hurricanes, and lightning, our insurance cost are an average of 20% higher than other parts of the country. In fact, a recent study by the insurance industry collected data on the average home insurance premiums in all 50 states.
Texas topped the list as the #1 most expensive state for home insurance with the average policy cost just under $1500/year. In 2008, homeowner’s losses cost a combined total of nearly $42.5 Billion with an average of 5.8 claims for every 100 policies. Houston Homeowners Insurance policies are some of the most expensive in Texas due to hurricane exposure associated with our proximity to the Gulf Coast. These statistics support the idea that home insurance is a necessity if you own a home and want to protect it from the financial devastation commonly found in our area.
When shopping for a comprehensive insurance policy to protect your home, it is important to know how companies establish their Houston Homeowners Insurance pricing. A process known as “underwriting” in the insurance industry is used to determine if a home qualifies for coverage as well as exactly what rate to charge the consumer who owns that home. Here are just a few of the more common underwriting guidelines that companies use to determine Houston Homeowners Insurance
- Location - Premiums are higher for homes in areas with a high frequency of storms, such as hurricanes or hailstorms, or with a higher crime rate.
- Age and condition of the home. Older homes and homes in poor condition are generally more expensive to insure. Companies may refuse to insure homes in poor condition, but they can’t deny coverage solely because of a home’s age or value.
- Your home’s replacement cost. Since your policy will pay to rebuild your home if it is destroyed by a covered loss, premiums are more expensive for homes with a higher replacement cost.
- Fire Department Rating – Homes with access to good fire protection services get better rates. If you live in an area with limited fire protection, your rates will be higher.
- Construction of home. Homes built primarily of brick are less expensive to insure than homes built with aluminum or vinyl siding. Brick homes tend to withstand damage better during high wind or hail storms. Less risk for the insurance company equals a lower price for the policy.
- Your credit score – Companies may consider your credit score when deciding whether to sell you a policy and what to charge you. However, a company cannot refuse to sell you a policy or cancel or non-renew your policy solely on the basis of your credit.
- Your claims history. Houston Homeowners Insurance companies will charge more if you’ve filed claims in the past. Before filing a claim, it’s a good idea to ask your agent or the company’s underwriting department how it will affect your premium at renewal time. For less expensive losses, it may be cheaper in the long run to pay for repairs yourself rather than file a claim. This is especially true for repairs that wouldn’t cost much more than the amount of your deductible.
If your current policy coverage is straining your budget or you have experienced a large increase in the cost of your Houston Homeowners Insurance policy, you have come to the right place. Simply fill out the form above and we will send you an instant Houston Homeowners Insurance price quote to your e-mail inbox in 10 minutes or less. Then if you like the rate, our licensed and experienced agents can review your quote by phone, discuss the coverage options and discounts, bind coverage, and even help you “break up” with your current company.